The acquisition, expected to close in September, will integrate Axiom’s cloud-native privileged access management technology into Okta’s existing platform.
Okta Inc. (OKTA) announced on Tuesday that it has reached an agreement to acquire Israeli cybersecurity startup Axiom Security, in a move aimed at strengthening its capabilities in the privileged access management (PAM) market.
The acquisition, expected to close in September, will integrate Axiom’s cloud-native PAM technology into Okta’s existing platform, enhancing security controls for critical infrastructure.
Okta stock inched 0.03% higher in mid-morning on Tuesday. On Stocktwits, retail sentiment toward the stock improved to ‘extremely bullish’ from ‘bullish’ territory the previous day. Message volume shifted to ‘high’ from ‘normal’ levels in 24 hours.
The stock saw an 833% surge in user message count as of Tuesday morning.
The combined platform will offer organizations a single dashboard for managing high-level access across cloud services, on-premise systems, databases, and tools like Kubernetes. The financial details of the transaction were not disclosed.
Also, Okta received a bullish nod from Canaccord Genuity, which upgraded the identity management firm’s stock to ‘Buy’ from ‘Hold’ and raised its price target to $120, up from $115, as per TheFly.
The firm cited positive demand signals across the software sector, with strong performance trends persisting through July. Conversations with industry stakeholders have left the firm ‘generally constructive’ about business momentum heading into earnings.
Canaccord believes the stock presents a compelling risk/reward opportunity. The company is expected to report second-quarter (Q2) earnings on Tuesday after the market close. For Q2, Okta sees revenue between $710 million and $712 million, compared to an estimate of $711.87 million, as per Fiscal AI data. It anticipates adjusted earnings per share in the range of $0.83 to $0.84, against the analysts’ consensus estimate of $0.85.
Okta stock has gained over 15% in 2025 and has lost over 6% in the last 12 months.
For updates and corrections, email newsroom[at]stocktwits[dot]com.<